Step 2 of 7
Health insurance
One hospital stay can wipe out your savings. Health insurance helps pay for hospitalization, doctor's fees, medicines, surgeries and treatments.
An HMO and critical illness insurance work best together. Your HMO pays the hospital directly, up to a yearly limit. A critical illness policy pays you cash, which covers what your HMO doesn't, plus your living expenses while you recover and can't work.
HMO (Health Maintenance Organization)
- What it covers
- Doctor's visits, basic lab tests, hospitalization in partner hospitals
- Key features
- Often provided by employers; you can also buy a personal plan; has yearly coverage limits
Critical illness insurance
- What it covers
- Major illnesses like cancer, heart attack and stroke
- Key features
- Pays a lump sum on diagnosis, for treatment or daily living expenses
Accident insurance
- What it covers
- Injuries, disability or death caused by accidents
- Key features
- Usually affordable with fast approval; a useful add-on, not a replacement for health coverage
| Type | What it covers | Key features |
|---|---|---|
| HMO (Health Maintenance Organization) | Doctor's visits, basic lab tests, hospitalization in partner hospitals | Often provided by employers; you can also buy a personal plan; has yearly coverage limits |
| Critical illness insurance | Major illnesses like cancer, heart attack and stroke | Pays a lump sum on diagnosis, for treatment or daily living expenses |
| Accident insurance | Injuries, disability or death caused by accidents | Usually affordable with fast approval; a useful add-on, not a replacement for health coverage |